Project 2222
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46RESEARCH PROJECT ON EMPLOYEE WELFARE & SOCIAL SECURITY (At Bhiwani Textile Mills) Submitted Toward Partial Fulfillment Of Requirement For The Award Of (MASTER IN BUSINESS ADMINISTRATION DEGREE) 2007-2009 Under the guidance of: Submitted by: Mr. Omesh Chadha Neha Dhingra Faculty (MBA Dept.) Roll No.0732 MBA (4 th Sem) 1
Transcript of Project 2222
46RESEARCH PROJECT ON
EMPLOYEE WELFARE&
SOCIAL SECURITY(At Bhiwani Textile Mills)
Submitted Toward Partial Fulfillment Of Requirement For
The Award Of
(MASTER IN BUSINESS ADMINISTRATION DEGREE)
2007-2009
Under the guidance of: Submitted by:
Mr. Omesh Chadha Neha Dhingra
Faculty (MBA Dept.) Roll No.0732
MBA (4th Sem)
PANIPAT INSTITUTE OF ENGGINERING & TECHNOLOGY
Kurukshetra University, kurukshetra
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TABLE OF CONTENTS
TABLE OF GRAPHS
Serial
No.
TOPICS PAGE NO.
1 TABLE 1- Company’s philosophy & culture 49
2 TABLE 2- Company’s management style 50
3 TABLE 3- Managers’ contribution to employee satisfaction 51
Serial
No.
CHAPTERS PAGE NO.
1 INTRODUCTION OF THE TOPIC 3
2 SIGNIFICANCE OF THE STUDY 4
3 CONCEPTUALIZATION 6
4 INDUSTRIAL PROFILE 7
5 OBJECTIVE OF THE STUDY 8
6 JUSTIFICATION OF THE STUDY 15
7 FOCUS OF THE STUDY 16
8 RESEARCH METHODOLOGY 18
9 ANALYSIS & INTERPRETATION 36
10 FINDINGS 60
11 SUGGESTIONS 61
12 LIMITATIONS 62
13 CONCLUSION 63
14 ANNEXURE 64
15 BIBLIOGRAPHY 68
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4 TABLE 4- Integration of HRP with Strategic planning 52
5 TABLE 5- Employee welfare & social security facilities 53
6 TABLE 6- Canteen management committee 54
7 TABLE 7- Ambulance room or ambulance van facility 55
8 TABLE 8- Why you joined this company 56
9 TABLE 9- Objectives of organization 57
10 TABLE 10- Satisfaction with current profile 58
11 TABLE 11- Different parameters to be rated 59
12 TABLE 12- To rate different parameters 60
13 TABLE 13- Rating of parameters 61
14 TABLE 14- Satisfied with compensation 62
15 TABLE 15- Company’s housing facility 63
16 TABLE 16- Medical facilities apart ESI 64
17 TABLE 17- Satisfied with current job profile 65
18 TABLE 18- Methods to give welfare Schemes 66
19 TABLE 19- How you rate your organization 67
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INTRODUCTION OF THE TOPIC
INTRODUCTION OF THE TOPIC
Employee welfare
Industrial progress of a country depends on its committed Employee force. The schemes
of Employee welfare may be regarded as “a wise investment” which should and usually
does bring a profitable return in the form of greater efficiency.
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Welfare is a broad concept referring to a state of living on an individual or a getup is a
desirable relationship with the total environment – ecological, economical and social.
Employee welfare includes both the social and economic contents of welfare.
Social security
There is a common proverb called “man is a social animal” and right from inception he is
struggling for his security. Social security is having dynamic concept in the modern age,
which influences the social as well as economic policy.
Though, the social security programs differ from country to country, they have
these characteristic in common
1) They are established by law.
2) They provide some form of cash payments to individual to compensate at least a part
of the lost income that occurs due to such contingencies as unemployment, maternity,
worker injury, industrial disease, frugal, widowhood.
CONCEPTUALIZATION
Employee Welfare
The term Employee welfare may be viewed as a total concept, as a social concept and as
a relative concept. The total concept is a desirable state of existence involving the
physical, mental, moral and emotional well-being. The relative concept of welfare
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implies that welfare is relative in time and place. It is dynamic and flexible concept and
hence its meaning and content differ from time to time, region to region, industry to
industry, level of education, social custom, degree of industrialization and general
standard of the socio-economic development of the people.
Employee welfare is an important facet of industrial relations, the extra dimension, giving
satisfaction to the worker in a way, which even a good wage cannot. With the growth of
industrialization and mechanization, it has acquired added importance. The workers, both
in industry and agriculture cannot cope with the pace of modern life with minimum
sustenance amenities. He needs an added stimulus to keep body and soul together.
Employees have also realized the importance of their role in providing these extra
amenities, and yet, they are not always able to fulfill workers demand, however
reasonable they might be.
Employee Welfare implies the setting up of minimum desirable standard and the
provision of facilities like health, clothing housing, medical, education, insurance, job
security, recreational etc. to enable the worker and to live a good working life and social
life.
Social Security
There is a common proverb called “man is a social animal” and right from inception he is
struggling for his security. Social security is having dynamic concept in the modern age,
which influences the social as well as economic policy.
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At present, the concept of social security is based on recognition of the fundamental
social right guaranteed by law to al human beings who live from their own Employee and
who find themselves unable to work temporarily or permanently for reasons beyond their
control.
It is now widely believed that social security can act as a catalyst for social
transformation and progress. In this respect Mr. Francis Blanchard former Director
general ILO has appropriately said that “Social Security is an instrument for social
transformation and progress and must be preserved supported and developed” as
such. Furthermore far from being an obstacle to economic progress as is all two often
said social security organized on a firm and sound basis will promote progress since once
men and women benefit from increased security and are free from anxiety for the
morrow. They will become more productive.
The concept of Social Security includes provision for hosing, safe drinking water,
sanitation, health, education and cultural facilities as also a minimum wages, which can
guarantee workers to maintain themselves in a decent life.
DEFINITION OF EMPLOYEE WELFARE
Employee welfare means anything done for the comfort and improvement, intellectual
or social, of the employees over and above the wages paid which is not a necessity of
the industry
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According To Arthur James Todd
Worker welfare should be understood as a meaning with services, facilities and
amenities which may be established in or in the vicinity of undertaking to enables the
person employed in them to perform their work in healthy and peaceful surrounding
and avail of facilities which improve their health and bring high moral.
According To ILO
PROVISION OF FACTORIES ACT [1948] REGARDING EMPLOYEE WELFARE
According to Provision Of The Factories Act 1948, Employee welfare facilities divided
into two categories, which are:
Statutory
Voluntary
Under the Act the following Welfare Facilities are provided
SN Facilities Description Section1 Drinking Water 182 Latrines and Urinals 193 Spittoons 204 Washing 425 Storing & Drying Cloths 436 Sitting 447 First Aid Appliances & Ambulance 458 Canteen 469 Shelters, Rest Rooms and Lunch Room 4710 Crèches 48
STATUTORY
Statutory welfare facilities comprise of those facilities required to maintain compulsory
standard of health and safety of workers, such as How to work, Hygienic Atmosphere etc.
& which are mandatory for the organization in accordance with government rules which
are to be adhered to.
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Cleanliness
Under section 11 of the Factory act, 1948 provides for the cleanliness of manufacturing
of production department workers are responsible and for the cleanliness of outside and
inside the mill, Four Sweepers are recruited.
Sweeper Timing Area Of Work2 9 am to 5 PM General Shift, Offices, Canteen, Outside
1 3 to 11 (1stshift), Side area including staff Latrines, Urinals
1 11 to 7 (2nd shift), Side area including staff Latrines, Urinals
Ventilation & Temperature
Under section 13 of The Factory act provides that suitable provisions shall be made in
every factory for security and maintaining in every workroom.
BTM provides this facility as
Engineering department is responsible for ventilation and temperature
maintenance.
Arrangement of carrier fans with spray nozzles during summer while
arrangements of return air along with steam supply during winter.
Exhaust fans are also fitted to carry out the dust and fumes and for circulation of
fresh air.
Artificial Humidification
Under section 15 of The Factory act 1948 provides that in respect of all the factories in
which the humidity of the air is artificially increased.
The State Government may make rules:
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Regulating the methods used for artificially increasing the humidity of the air.
Directing prescribed test for determining the humidity of the air to be correctly
carried out and recorded.
Canteen
Under section 46 of The Factories Act, provides that a canteen shall be provided and
maintained by the occupier for the use of the workers in any factory wherein more than
250 workers are employed. To manage the canteen “CANTEEN MANAGEMENT
COMMITTEE” should be formed consisting representative of employer and the
employees.
Without prejudice in the generality of the foregoing power, such rules may provide
for
a) The date by which such canteen shall be provided
b) The standards in respect of construction, accommodation, furniture and other
equipment of the canteen.
c) The foodstuffs to be served therein and the charges which may be made therefore.
Lighting
The lighting arrangement has also its importance. Poor lighting arrangements increase the
inefficiency of the workers.
To protect the eyesight of workers and to prevent glare and formation of shadows
section 17 imposes:
A duty upon the occupier to provide and maintain: -
a) Sufficient and suitable lighting
b) Such lighting should be natural or artificial or both
All glazed windows and skylights provided for passing of lights should be kept
clean from both side of the surface.
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Washing Facilities
Under section 42 of Factories Act 1948 lay down that every factory has to provide these
facilities:
a) Adequate and suitable facilities for washing shall be provided and maintained for use
of the workers therein
b) Separate and adequate screened facilities shall be provided for the use of male and
female workers
c) Such facilities shall be conveniently accessible and shall be kept clean
Storing And Drying Clothing Facilities
Under section 43 of Factories Act a state government may make rules for requiring the
provision of suitable place for keeping clothes not worn during working hours and for the
drying of wet clothing.
a) In every factory suitable arrangements for sitting shall be provided and maintained for
all workers obliged to work in a standing position
First Aid Appliances
According to Factories Act each factory or company should provide following
facilities:
a) The number of such boxes or cupboards to be provided and maintained shall not be
less than one for every one hundred and fifty workers ordinarily employed in the factory.
b) Each first-aid box or cupboard shall be kept in the charge of separate responsible
person, {who holds a certificate in first-aid treatment recognized by the State
Government}
b) In every factory wherein more than five hundred workers are, there should be
provided and maintained an ambulance room or ambulance van.
Crèches
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Under Section 48 of The Factories Act, crèches facilities should be provided in every
factory wherein more than 30 women are employed, for the use of the children under the
age of 6 years.
Shelters, Rest Rooms And Lunchrooms
Under section 47 of the act every factory employing more than 150 workers must
provide adequate and suitable shelters, rest rooms and a lunchroom with provision of the
drilling water, where workers can eat their meals at the time of rest interval.
Drinking Water
Section 18 Of The Factories Act provides these rules
a) Effective arrangements shall be made to provide and maintain at suitable points
conveniently situated for all workers employed therein a sufficient supply of wholesome
drinking water.
b) In every factory where in more than two hundred and fifty workers are ordinarily
employed, provisions shall be made for cooling drinking water during hot weather by
effective means and for distribution thereof.
Toilets And Urinals
Section 19 Of The Act makes it obligatory to provide in every factory
a) Sufficient toilet and urinal accommodation, which should be of prescribed types,
should be conveniently situated and accessible to workers at all time.
b) Such toilets should be enclosed and should be separate for male and female workers.
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c) All such accommodation shall be maintained in clean and sanitary conditions at all
times.
Welfare Officer
The officer who doing the work regarding the facilities which are provide to workers for
their welfare, known as Welfare Officer.
The State Government may makes rules under section 49 (1) and (2) of The
Factories Act as
a) In every factory wherein five hundred or more workers are ordinarily employed the
occupies shall employ in the factory such number of welfare officers as may be
prescribed.
b) The government may also prescribe the duties, qualification and conditions of services
of officers employed.
VOLUNTARY/ NON STATUTORY
Voluntary welfare measure includes all those activities, which employers undertake for
the welfare of their workers on a voluntary basis to increase work efficiency.
Regulation Of Hours Of Work
Section 51 Of The Factories Act provides that no adults shall be allowed or required to
work for more than 48 hours in a week.
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Weekly Holidays:
Notices given under sub-section (1) may be canceled by a notice delivered at the office of
the inspector and a notice displayed in the factory not later than the day before the said
day or the holiday to be cancelled, whichever is earlier.
Compensatory Holidays
The provisions of section 52, a worker is deprived of any of the weekly holidays for
which provision is made in sub-section (1) that section he shall be allowed, within the
month in which the holidays were due to him.
Daily Hours
No adult worker shall be required or allowed to work in a factory more than 9 hours in a
day.
Spread-Over
The period of work of an adult worker in a factory shall be so arranged that inclusive of
his intervals for rest under section 55, they shall not spread over more than ten and half-
hours in any day.
Intervals For Rest
The periods of work of adult workers in a factory each day shall be so fixed that no
period shall exceed five hours and that no worker shall work for more than five hours
before has had an interval for rest of at least half an hour, so however that the total
number of hours worked by a worker without a interval does not exceed six.
DEFINITION OF SOCIAL SECURITY
Social Security is that security, society furnishes through appropriate organization
against certain risk to which its member are exposed.
According To ILO
Social Security is an instrument for social transformation and progress and must be
preserved supported and developed for as such.
According To Mr. Francis
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Blanchard
SOCIAL SECURITY LEGISLATION IN INDIA
In her drive to provide protection to the needy workers, the Government of India has
made the various enactments from time to time. The important among them are:
1) The Workmen’s Compensation Act, 1923
2) The Employee’s State Insurance Act, 1948
3) The Employee’s Provident Funds & Miscellaneous Provisions Act, 1952
4) The Family Pension Fund Act, 1995
5) The Employees Deposit Link Insurance Act, 1976
6) The Maternity Benefit Act, 1961
7) The Payment of Gratuity Act, 1972.
8) The Payment of Bonus Act, 1965.
SOCIAL SECURITY MEASURE
In BTM, Bhiwani the social security can be measured by study of application of
following acts in company:
The Employee’s Provident Fund &Miscellaneous Provisions Act, 1952
Coverage
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The Act covers workers employed in a factory or any industry specified in Schedule-I in
which 20 or more workers are employed or which the Central Government notifies in its
officials Gazette. The Act does not apply to co-operative societies employing less then 50
persons.
Administration
Tripartite Central Board of Trustees represented by Employers, Employees and the
Government administers the Act.
Its %
Basic Pay + DA + Cash Value Of Any Food Concession
Upto a maximum of Rs. 65,00 only.
Contribution
Description Employees EmployersEPF 12% of Wages
10% of Wages in case less then 20 persons.
12% of Wages10% of Wages in case less then 20 persons.
PENSION 8.33% of Employee Share. Central Government to contribute 1.16%
NIL
DEPOSIT LINK INSURANCE 1% NIL The Workmen’s Compensation Act, 1923
Coverage
This act covers workers employed in factories, mines, plantations, mechanically
propelled vehicles, construction works, railways, ships, circus and other hazardous
occupation specified in schedule – II of the Act.
Administration
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The State Government administers the Act by appointing Commissioners for this purpose
under Section 20.
The Act has categorized the injuries in the following manner and the calculation of
compensation there under
TYPE OF INJURY EXAMPLE COMPENSATION Total Disablement
a) Temporary Fracture in both hands or legs 25% of monthly wages paid fortnightly till recovery
b) Permanent Amputation of both hands or legs or loss of vision in both eyes
60% of monthly wages or Rs. 90,000 whichever is more.
Partial Disablement
a) Temporary Fracture in both hands or legs Upto 3 days nil. Beyond 3 days 25% of monthly wages paid fortnightly till recovery
b) Permanent Permanent Amputation of both hands or legs or loss of vision in both eyes
50% of monthly wages or Rs. 80,000 whichever is more.
The Employee’s State Insurance Act, 1948
Coverage
The Act covers all workers whose income does not exceeds Rs. 7500/- per month and are
employed in factories other than seasonal factories which run with the aid of power and
employing 10 or more than 10 persons and on 20 or more than 20 persons without aid of
powers.
Administration
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The Employees State Insurance Corporation, an autonomous body, administrates The
Act.
Contribution
Employees Share is 1.75%.
Employers Share is 4.75%.
Benefits
Under this Act an insured is entitled to receive the following types of benefits:
a) Medical Benefit b) Sickness Benefit
c) Maternity Benefit d) Disablement Benefit
e) Dependents Benefit f) Funeral Benefits
g) Medical Bonus
Role Of ESI Corporation
To provide for the various benefits listed under the Act.
To receive contributions from employers and also ensure the correctness of the
contributions through periodic inspections.
The Employees Deposit Link Insurance Act, 1976: -
This Act is fully implemented in BTM Bhiwani and the provision of Deposit Linked
Insurance Scheme is attached with LIC. The LIC is paying minimum Rs. 6000/- even on
one-day employment and maximum Rs. 62,000/- where as PF Department will pay Rs.
500/- minimum on one year employment and maximum Rs. 60,000/- according to
balance in PF A/c.
The Family Pension Fund Act, 1995
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Coverage
The Act covers workers employed in a factory or any industry specified in Schedule-I in
which 20 or more workers are employed or which the Central Government notifies in its
officials Gazette. The Act does not apply to co-operative societies employing less then 50
persons.
Administration
Tripartite Central Board of Trustees represented by Employers, Employees and the
Government administers the Act.
Benefits
a) Superannuating Pension b) Reduced Pension
c) Short Service Pension d) Less Than 10 Years
e) Permanent Disablement Pension f) Widow Or Widower’s Pension
g) Monthly Children Pension h) Nominee Pension
Monthly Member’s Pension = Pensionable Salary * Pensionable Service
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The Maternity Benefit Act, 1961
Coverage
The act is applicable to all establishments not covered under the Employees’ State
Insurance Act, 1948.
Administration
The Employees’ State Insurance Corporation administers the Act.
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Periods Under The Maternity Benefit Act
6 Weeks After delivery/ miscarriage/ MTP
Prohibited from work or to work
By employer or woman
1 Month Period to 6 weeks before EDD
On arduous work/ continuous standing
By employer
Not. 6 Weeks Before EDD Leave with wages At maternity rateTotal 12 Weeks Before and after
deliveryLeave with wages At maternity rate
6 Weeks After miscarriage/ MTP
Leave with wages At maternity rate
2 Weeks Tubectomy operation
Leave with wages At maternity rate
1 Month Illness due to pregnancy miscarriage/ MTP/ premature birth/ tubectomy
Leave with wages subject tap production of certificate
At maternity rate
Two Break In A Day
Nursing Till child is a 12 month, Rs.250, Medical Bonus
Those entitled to maternity benefit Provide no pre natal or post natal
The Payment of Gratuity Act, 1972.
Coverage
The act is applicable to all establishments where 10 or more persons are working and
have completed 5 years of service.
Administration
The Company or Trust administrates The Fund if the Trust is linked with LIC.
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Benefits
Under the Act, an employee is eligible to get Gratuity amount if he renders 5 years
continuous service in the organization. The Gratuity amount will be payable as under.
The equation is: -
(Salary/ 26) * 15 * Year of Service
The maximum limit of gratuity payment is Rs. 3.5 lakes but if the employer wants to pay
more than he can pay Upto any limit.
The Payment of Bonus Act, 1965.
Coverage
The act is applicable to all establishments where 20 or more persons are working.
Administration
The Company administrates The Fund.
Benefits
Under the Act, an employee whose salary or wages does not exceed more than Rs.3500/-
is eligible to get Bonus up to the salary of Rs. 2500 per month @ 8.33% if he has
completed One-Month Service. If the employer is interested to pay bonus on higher
salary / wages than he can pay bonus Upton any limit. The rate of Bonus will be
increased in case Company earns more Profit up to 20%.
Every employee who has completed One Month is eligible for the Bonus.
Eligibility
Minimum 30 days working in the year.
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Minimum Bonus
8.33% of annual salary or wages.
Maximum Bonus
20% of annual salary or wages
In case salary or wages is more than 2500/- then the Bonus limit would be calculated
as if his wages or salary is Rs. 2500/- only.
Methods of calculation
Take net profit of the establishment from the P & L A/C.
Make adjustment as provided in the first or second Schedule.
The result is “Gross Profit” as defined under the Bonus Act.
New deducting the following
a) Development rebate / investment all
b) Depreciation
c) Direct taxes liabilities as per section 7
Available Surplus is the above + difference between taxes on GP of last year
before deducting Bonus and after deducting Bonus
Allocable Surplus is 60% of Available Surplus
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INDUSTRIAL
PROFILE
INDUSTRIAL PROFILE
Indian textile industry is one of the oldest industries in the largest in the country; Indian
textile industry has undergone many transformations during its progress from historic
periods to the present modern shape.
The textile industry occupies a unique place in our country. One of the earliest to come
into existence in India, it accounts for 14% of the total Industrial production, contributes
to nearly 30% of the total exports and is the second largest employment generator after
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agriculture. Textile Industry is providing one of the most basic needs of people and the
holds importance; maintaining sustained growth for improving quality of life. It has a
unique position as a self-reliant industry, from the production of raw materials to the
delivery of finished products, with substantial value-addition at each stage of processing.
Although the development of textile sector was earlier taking place in terms of general
policies, in recognition of the importance of this sector, for the first time a separate Policy
Statement was made in 1985 in regard to development of textile sector. The textile
policy of 2000 aims at achieving the target of textile and apparel exports of US $ 50
billion by 2010 of which the share of garments will be US $ 25 billion. The main
markets for Indian textiles and apparels are USA, UAE, UK, Germany, France,
Italy, Russia, Canada, Bangladesh and Japan.
AN OVERVIEW
Close to 14% of the industrial output and 30% of the export market share is contributed
directly by the Indian textile industry. Indian textile industry is also the largest industry
when it comes to employment that generates jobs not just within but also in various
support industries like agriculture. As per a recent survey the textile industry is going to
contribute 12 million new jobs in India by 2010 itself.
Indian textile industry is as old as the word textile itself. This industry holds a significant
position in India by providing the most basic need of Indians. Starting from the
procurement of raw materials to the final production stage of the actual textile, the Indian
textile industry works on an independent basis.
Indian textile industry concludes of various segments like: 1. Woolen Textile 2. Cotton Textiles 3. Silk Textiles 4. Readymade Garments 5. Jute And Coir
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6. Hand-Crafted Textile Like Carpets 7. Man-Made Textiles
Indian textile industry in a very short span had made a distinct position globally, alluring the globe towards the ‘World of Indian textiles’. This has happened mainly because:
High availability of raw materials Highly skilled economical labor, an added advantage Largest producer of cotton yarn contributing 25% towards worlds cotton Availability of all kinds of fibers like silk, cotton, wool and even high
quality synthetic fibers Flexibility of the readymade garment industry in terms of sizes, fabric
variety, quantity, quality and cost
It’s not just the present that is shinning like a bright start but also the future, as the textile export market of India is expected to reach a high of $50 billion by 2010. This will eventually make a profit by 300%. In order to attain this target Indian textile industry has already started improving their design skills, including a combination of various fibers. Indian textile industry is all set to meet international standards and is planning to invest $5 billion in machineries very soon.
Most of the international brands like Marks & Spencer, JC penny, Gap have started procuring most of their fabrics from India. In fact, Walmart, who had procured textile worth $ 200 million last year, intends to procure $ 3 billion worth of textile this year.
The golden phase of the Indian textile industry has just begun where the world is chasing it from all nooks and corners.
New innovations in clothing production, manufacture and design came during the Industrial Revolution – these new wheels, looms, and spinning processes changed clothing manufacture forever.
The ‘rag trade’, as it is referred to in the UK and Australia is the manufacture, trade and distribution of textiles.
There were various stages – from a historical perspective – where the textile industry evolved from being a domestic small-scale industry, to the status of supremacy it currently holds. The ‘cottage stage’ was the first stage in its history where textiles were produced on a domestic basis.
During this period cloth was made from materials including wool, flax and cotton. The material depended on the area where the cloth was being produced, and the time they were being made.
In the later half of the medieval period in the northern parts of Europe, cotton came to be regarded as an imported fiber. During the later phases of the 16th century cotton was
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grown in the warmer climes of America and Asia. When the Romans ruled, wool, leather and linen were the materials used for making clothing in Europe, while flax was the primary material used in the northern parts of Europe.
During this era, the merchants who visited various areas to procure these leftover pieces bought excess cloth. A variety of processes and innovations were implemented for the purpose of making clothing during this time. These processes were dependent on the material being used, but there were three basic steps commonly employed in making clothing. These steps included preparing material fibers for the purpose of spinning, knitting and weaving.
During the Industrial Revolution, new machines such as spinning wheels and handlooms came into the picture. Making clothing material quickly became an organized industry – as compared to the domesticated activity it had been associated with before. A number of new innovations led to the industrialization of the textile industry in Great Britain.
Clothing manufactured during the Industrial Revolution formed a big part of the exports made by Great Britain. They accounted for almost 25% of the total exports made at that time, doubling in the period between 1701 and 1770.
The center of the cotton industry in Great Britain was Lancashire – and the amount exported from 1701 to 1770 had grown ten times. However, wool was the major export item at this point of time.
In the Industrial Revolution era, a lot of effort was made to increase the speed of the production through inventions such as the flying shuttle in 1733, the flyer-and-bobbin system, and the Roller Spinning machine by John Wyatt and Lewis Paul in 1738.
Lewis Paul later came up with the carding machine in 1748 and in 1764 the spinning jenny was also developed. Richard Ark Wright invented the water frame in 1771. Edmund Cartwright invented the power loom in 1784.
In the initial phases, textile mills were located in and around the rivers since they were powered by water wheels. After the steam engine was invented, the dependence on the rivers ceased to a great extent. In the later phases of the 20th century, shuttles that were used in the textile industry were developed and became faster and thus more efficient. This led to the replacement of the older shuttles with the new ones.
Today, modern techniques, electronics and innovation have led to a competitive, low-priced textile industry offering almost any type of cloth or design a person could desire. With its low cost labour base, China has come to dominate the global textile industry.
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COMPANY
PROFILE
Grasim Industries Limited
Aditya Birla Group operates over 40 companies in 12 countries across 4 continents. It is
the world’s largest producer of Viscose Rayon Fiber with about 40% market share.
Textile and related products contributes to 15% of the group turnover. Given below are a
brief description of the different companies under the umbrella of Aditya Birla Group
involved in Viscose Rayon Fiber, Textiles and Garments
Grasim Industries Limited was incorporated in 1948; Grasim is the largest exporter of
Viscose Rayon Fiber in the country, with exports to over 50 countries. This, along with
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Aditya Birla Nuvo can be considered as the flagship companies of the AV Birla Group.
Indian Rayon rechristened as Aditya Birla Nuvo Ltd in 2005.
Grasim Industries Limited, a flagship company of the Aditya Birla Group, ranks among
India's largest private sector companies, with consolidated net revenues of Rs.141 billion
(FY2007). Starting as a textiles manufacturer in 1948, today Grasim's businesses
comprise Viscose Staple Fibre (VSF), Cement, Sponge Iron, Chemicals and Textiles —
in all of which the company holds a dominant position.
In July 2004, Grasim acquired a majority stake and management control in UltraTech
Cement Limited, the de-merged cement business of Larsen & Toubro Limited (L&T).
One of the largest of its kind, in the cement sector, this acquisition catapulted the Aditya
Birla Group at the top of the league in India. The Group's combined capacity stands
raised to 31 million tpa, of which 17.0 million tpa capacity comes from UltraTech and 1.1
million tpa from Shree Digvijay Cement Co. Ltd, another subsidiary of Grasim.
Between Grasim and its subsidiaries, the Group has 11 composite plants, seven split
grinding units, four bulk terminals — inclusive of one in Sri Lanka and 10 ready-mix
concrete plants. Importantly, it gives the Group a strong national presence, with a
leadership position in 17 states.
Viscose staple fibre
The Aditya Birla Group is the world's largest producer of VSF, commanding a 23 per
cent global market share. The company meets India's entire domestic VSF requirements.
Cement
The Aditya Birla Group is the 11th largest cement producer in the world and the seventh
largest in Asia.
Sponge Iron
It is the largest merchant producer of sponge iron in India.
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Chemicals
Grasim has India's second largest caustic soda unit.
Textiles
Its premium brands, the Grasim and Graviera range of fabrics, have distinctively
positioned themselves as 'the power of fashion'. All of Grasim's units have earned ISO
9002 and 14001 certifications.
Product quality, innovation and eco-friendliness are a hallmark of all the company's
divisions.
A BRIEF HISTORY
Grasim was incorporated on August 25, 1947; just 10 days after India became
independent, manufacturing textiles made from imported raw materials. It is now a global
leader in viscose staple fibre (VSF), the country's largest merchant producer of sponge
iron and the second-largest caustic soda maker in India; and poised to be India's largest
cement manufacturer.
1947
Grassy Industries Ltd is incorporated.
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1950
Grasim launches production of fabrics at Gwalior using imported rayon – a man-
made cellulose fibre.
1954
Grasim begins rayon production at Nagda.
1962
Grasim starts an engineering division to provide plant and machinery for VSF
production.
1963
Grasim sets up its first rayon grade pulp plant at Mavoor, Kerala; the first to make
rayon grade pulp from bamboo and other hardwoods.
Grasim purchases a composite textile mill at Bhiwani, Haryana.
1968
Rayon production commences at Mavoor, Kerala.
1972
A completely indigenous plant based on Grasim's own engineering and know-
how, begins production at Harihar, Karnataka.
1977
Grasim's third rayon plant – at Harihar, Karnataka – goes into production.
1985
Vikram Cement – Grasim's first cement plant – goes on stream at Jawad, Madhya
Pradesh.
1987
Vikram Cement's second production line is commissioned.
1991
A third production line is added at Vikram Cement.
1992
Grasim sets up Birla International Marketing Corporation (BIMC), a merchant
exporter.
First GDR issue on December 2, 1992 for US$ 90 million.
Nos: 6,933,745
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1993
Vikram Ispat, India's third-largest gas-based sponge iron plant, is commissioned.
Birla Consultancy & Software Services is set up, to provide IT consulting services
and for software development
1994
Second issue of GDRs on June 15, 1994 for US $100 million.
Nos: 4,878,048
1995
Grasim commissions two greenfield cement plants – Grasim Cement at Raipur
(Madhya Pradesh) and Aditya Cement at Shambhupura (Rajasthan).
Grasim sets up two new spinning units – Elegant Spinners at Bhiwani (Haryana)
and Vikram Woollens at Malanpur (Madhya Pradesh).
1996
The first phase of Grasim's fourth VSF plant commissioned at Kharach, Gujarat.
1998
Grasim's first major acquisition overseas – the Atholville Pulp Mill in Canada.
Grasim acquires Dharani Cements Ltd.
Grasim acquires Shree Digvijay Cements Ltd.
The cement business of group company, Indian Rayon and Industries Ltd (IRIL),
is transferred to Grasim in a corporate restructuring exercise.
1999
Grasim's viscose staple fibre (VSF) and rayon grade pulp units at Mavoor are
closed down owing to lack of raw material.
Third issue on September 16, 1999 to Indian Rayon's GDRs holders: Three GDRs
in Grasin for every 10 GDRs in Indian Rayon, on demerger of its Cement
business into Grasim. Nos: 1,624,336
2000
The Lawson Competency Centre is set up as a division of Birla Consultancy &
Software Services, the software arm of Grasim, following a tie up with Lawson
Software (USA), among Fortune's top five private software companies.
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Consultancy and software services are spun off as a separate entity, called Birla
Technologies Ltd.
Merger of Dharani Cements into Grasim.
2001
Grasim acquires 10 per cent stake in L&T. Subsequently increases stake to 15.3
per cent by October 2002
Four ready-mix concrete plants commissioned, with an aggregate capacity of one
million cubic meters per annum.
Divests holding in Birla Technologies to PSI Data Systems. 2002
VSF Research & Application Centre set up at Kharach in Gujarat
The Grasim Board approves an open offer for purchase of up to 20 per cent of the
equity shares of Larsen & Toubro Ltd (L&T), in accordance with the provisions
and guidelines issued by the Securities & Exchange Board of India (SEBI)
Regulations, 1997.
Grasim increases its stake in L&T to 14.15 per cent 2003
Grasim's Chemical Division receives the SA 8000 (Social Accountability) and
OHSAS 18001 certifications.
The board of engineering major Larsen & Toubro Ltd (L&T) decides to demerge
its cement business into a separate cement company (CemCo). Grasim will
acquire an 8.5 per cent equity stake from L&T and then make an open offer for 30
per cent of the equity of CemCo, to acquire management control of the company.
2004
Completion of the implementation process to demerge the cement business of
L&T and completion of open offer by Grasim, with the latter acquiring
controlling stake in the newly formed company UltraTech
Board reconstituted with Mr. Kumar Mangalam Birla taking over as Chairman
The Staple Fibre Division and Engineering & Development Division of Grasim,
Nagda receives SA 8000:2001 certification from SAI in recognition of its social
accountability initiatives.
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Grasim divests its Gwalior unit to Melodeon Exports Ltd, and consolidates all
textile operations at the Bhiwani unit, which will manufacture both the 'Grasim'
and 'Graviera' brands at a single location.
Grasim commences production of rayon grade caustic soda – a major raw material
for VSF production – at Nagda; another step towards becoming self-reliant
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OBJECTIVE OF THE STUDY
OBJECTIVE OF THE STUDY
The objective of the study carried out at “Bhiwani Textile Mills” is to know how
Employee welfare & social security system of the organization motivates their
employees.
35
The objective is to know the prevailing Employee welfare & social security system of the
organization is efficient and effective and to know, are the employees satisfied with the
system and if not what changes they would like to prefer.
Welfare may help minimize social evils, such as alcoholism, gambling, drug, addiction &
other such evils.
In order to get the best out of a worker in the matter of production, working conditions
require to be improved to a large extent. The workers should at least have the means and
facilities to keep him in a state of health and efficiency. This is primarily a question of
adequate nutrition and suitable housing conditions. The work place should provide
reasonable amenities for his essential needs. The worker should also be equipped with the
necessary technical training and a certain level of general education.
Keeping in view the above points, I have carried a study on Employee welfare to know
the fact & appraise the Bhiwani Textile Mills about the situation so that appropriate
measure can be taken in time.
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JUSTIFICATION
OF THE STUDY
JUSTIFICATION OF THE STUDY
Before carrying out a research study it is mandatory to state research problem in a
definite manner. Regarding study, the research problem is to study and understand the
topic i.e. employee welfare & social security.
.
37
I have chosen this topic because I wanted to have in depth knowledge of employee
welfare because some HR professionals inspired me to opt this topic. Moreover, I had
keen interest to study about this topic i.e. employee welfare & social security of the
Aditya Birla Group (of which Bhiwani Textile Mills is a subsidiary).
My training guide suggested me this topic for research as employee welfare &social
security is the basic activity and essential for each organization to take care of its
manpower for its successful functioning.
The main purpose of this study is to know how an organization can improve their
employee welfare & social security schemes. Therefore I have selected this topic.
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SIGNIFICANCE
OF THE STUDY
SIGNIFICANCE OF THE STUDY
Men instead of money will have to be accepted as the most valuable resources of any
organization. The management has to recognize the inevitability of developing human
assets, knowledge, professional skills, experiences and creativity of their employees.
39
To study the Employee welfare scheme for the workers at Bhiwani Textile Mills.
To gain maximum knowledge about practical work.
To work under an authority in discipline.
To see the employees practical work.
To complete the better project.
To understand the social security schemes, which are, provide to employees.
To gain some experience about official work.
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FOCUS OF THE
STUDY
FOCUS OF THE STUDY
Employee Welfare
41
It is somewhat difficult to accurately lay down the scope Employee welfare work,
especially because of the fact the Employee is composed of dynamic individuals with
complex needs. According to the committee on Employee welfare, welfare services
should mean Such services, facilities, amenities as adequate canteens, rest and recreation
facilities sanitary and medical facilities, arrangements for travel to and from the for the
accommodation of worker employed at a distance from their homes and such other
services, amenities and facilities including social security measures, which contribute to
conditions under which workers are employed.
On the whole basis these services may be basically of three types as given below:
Economic Services
These provide some additional economic security over and above wages or salaries, such
as pension, life insurance, credit facilities etc.
Recreational Services
The employees are in need of occasional diversion; their attitude improves when the
routine of everyday living is broken occasionally. For this purpose, management may
provide for recreational facilities.
Facilitative Services
These are conveniences facilities, which are the employees ordinarily, require such as:
Canteen, Rest Room and Lunch Room
Housing Facilities
Medical Facilities etc.
Washing Facilities
Educational Facilities
Leave Travel Concession
Social Security
The need of social security measures arises to help the people when they are unemployed
and exposed to risk such as sickness, maternity, old age etc.
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Social security scheme includes
Health Insurance
Maternity Benefits
Compensation for Employment Schemes
Worker’s Pension-Cum-Insurance Schemes
Compulsory And Voluntary Social Insurance
Provident Funds Schemes
Public Health Services
Services are provided in three ways:
a) Social Insurance
It is a mechanism through which benefits are provided to the contributors necessary for
satisfying wants during old age, sickness etc.
b) Social Assistance
It is a program through which the Government attempts to ameliorate the distress caused
by the contingencies of life.
c) Public Service
Such programs are usually financed directly by the Government from its general revenue
in the form of cash payments
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RESEARCH METHODOLOGY
RESEARCH METHODOLOGY
RESEARCH DESIGN
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A research design is the specification of methods & procedure for acquiring the
information needed. This is overall operation pattern or framework that stipulates
information is to be collected from which sources and by what procedure.
RESEARCH DESIGN USED: -
In my project work I used exploratory research, as it aim to answering question about
sale, brand availability, service quality, distribution pattern etc.
For conducting this study, Exploratory Research design was used, since: -
It is natural.
It is flexible.
It is useful to find out the most likely alternatives.
It is appropriate, when hypothesis have been established.
The objective of exploratory research is to find out new ideas, it is important to give
respondents to greatest freedom of response have conducted individually or in depth
interview, by which respondent asked to project themselves into a particular situation.
STUDY AREA
The study of the topic “Employee Welfare & Social Security” has been confined to the
employees of the Bhiwani Textile Mills. I have chosen both subjective and objective
methodology with sampling, questionnaire and interview, analysis of data to complete
my project study.
For acquisition of data from different levels of the organization, I have made
“QUESTIONNAIRE FOR EMPLOYEES” form and “QUESTIONNAIRE FOR
MANAGEMENT”
For analysis of data statistics methods are used to arrive at the conclusion.
SAMPLE
For the purpose of the study, the field has been divided into category- management and
Employees at all levels. The sample size of 50 employees is divided into 25 from
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management, & 25 from remaining Employees at all levels). Apart from their written
choice the form of questionnaire, they have also been interviewed for crosschecking and
proving authenticity of their choice.
QUESTIONNAIRE
The data is collected from Management and staff workers with the help of a
questionnaire prepared for this purpose. Data was also collected through personal
interaction with all the respondents.
The questionnaire consists of the job profile as well as the recognition system being
practiced in the organization and also the opinion and feeling of the respondents about the
measures. The questionnaire has been thoroughly discussed with the respondents to
clarify doubts, if any, regarding the information required.
The illiterate and low educated workers found it slightly difficult to understand the
questions in a straightforward manner. Their fear and suspicions were put to rest when
assured that the study is purely an academic exercise and the information supplied by
them would be kept confidential.
TABULATION OF DATA
The data collected has been classified and put into pie charts & bar graphs. On the basis
of these classifications, pie charts & bar graphs interpretations have been made.
Classifying all the information according to the levels and experience of the respondents
has done.
The respondent’s answers, opinions, suggestions and viewpoints have been properly
examined and utilized in this report. Different charts have been constructed to
supplements the analysis.
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ANALYSIS&
INTERPRETATION
QUESTIONNAIRE FOR MANAGEMENT
1. To what extent are the Company’s operating philosophy and culture understood by employees?
47
Sr. No. Option Chosen No. of employees % Employees1 Strongly agree 14 562 Agree 7 283 Strongly disagree 1 44 Disagree 3 12
ANALYSIS
INTERPRETATION
56% employees strongly agree that they get welfare facilities from
company. 28% employees only agree.4% employees strongly disagrees that
they get welfare facilities from company.12% employees disagree that
they get welfare facilities from the company.
2. Can the Company’s management style be described as participative?
Sr. No. Option Chosen No. of employees % Employees1 Strongly agree 12 48
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TABLE 1
TABLE 2
2 Agree 10 403 Strongly disagree 1 44 Disagree 2 8
ANALYSIS
INTERPRETATION
48%( 12) strongly agree that company’s overall management style is
participative. 40% (10) of the employees only agreed .4% (1) of the employees
strongly disagree about this philosophy and8% (2) of the employees disagreed.
3. To what extent do the managers in the Company work towards employee’s satisfaction?
Sr. No. Option Chosen No. of employees % Employees1 Strongly agree 12 48
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TABLE 3
2 Agree 9 363 Strongly disagree 3 124 Disagree 1 4
ANALYSIS
INTERPRETATION
48% (12) employees strongly agree that managers work hard toward employee’s
satisfaction. 36% (9) employees only agree. 12% (3) strongly disagree that
managers work hard toward employee’s satisfaction. 4% (1) employees disagree.
4. To what extent do you agree with the following statement “Human resource planning is well integrated with strategic planning in our company”?
Sr. No. Option Chosen No. of employees % Employees3 Strongly disagree 3 121 Strongly agree 13 52
50
TABLE 4
2 Agree 8 324 Disagree 1 4
ANALYSIS
INTERPRETATION
52% (13) employees strongly agreed that human resources planning are well
integrated with strategic planning. 32% (8) employees only agreed.12% (3)
employees strongly disagreed about this. 4% (1) employees
disagreed about this.
5. Are the Employee welfare & social security facilities extended to contract workers too?
Sr. No. Option Chosen No. of employees % Employees1 Yes 17 682 No 8 32
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TABLE 5
ANALYSIS:
INTERPRETATION
This chart depicts, the management gives Employee welfare & social securities facilities to contract workers. 68% (17) members of management are saying yes regarding these facilities to contract workers. 32% (8) members of management are saying no regarding these facilities to contract workers
6. Is there any canteen management committee in your organization?
Sr. No. Option Chosen No. of employees % Employees1 Yes 18 722 No 7 28
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TABLE 6
ANALYSIS:
INTERPRETATION
This chart depicts, the company have a canteen management committee & 72% (18) of the members of management voted for yes regarding these facilities. 28% (7) of the members of management voted for no regarding these facilities
7. Is there any Ambulance Room or Ambulance Van in the organization?
Sr. No. Option Chosen No. of employees % Employees1 Yes 22 882 No 3 12
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TABLE 7
ANALYSIS:
INTERPRETATION
This chart depicts, the company have an Ambulance Room or Ambulance Van. 88% (22) of the members of management are saying yes regarding these facilities. 12% (3) of the members of management are saying no regarding these facilities.
8. What prompted you to join this organization?
Sr. No. Option Chosen No. of employees % Employees1 Good salary 10 402 Status 4 163 Welfare schemes 8 324 Any other 3 12
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TABLE 8
ANALYSIS
INTERPRETATION
40% (10) strongly say that they joined the organization because of Good Salary
Package offered. 16%(4) employees said that they joined organization for status. 32%
(8) employees said that they joined the organization because of welfare schemes.12%
(3) employees joined the organization because of others reasons.
9. What are the major goals/objectives of your organization?
Sr. No. Option Chosen No. Of employees % Employees1 Profitability 7 282 Survival & Growth 9 363 Efficiency 6 244 Any Other 3 125 Total 25 100
ANALYSIS
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TABLE 9
INTERPRETATION
28% (7) employees strongly believed that the objective of organization is
profitability. 36% (9) said that the survival & growth is main objective of our
organization. 24% (6) believe strongly that the efficiency in the level of service is
main goal of organization. 12% (3) believed that the goal of the organization is other
than the specified above.
Q10. Are you satisfied with your current job profile?
Sr. No. Option Chosen No. of employees % employees1 Very satisfied 5 202 Satisfied 12 483 Not so satisfied 6 244 Unsatisfied 2 8
ANALYSIS
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TABLE 10
INTERPRETATION
20% (5) employees are very satisfied with their current job profile. 48% (12)
employees are only satisfied with their current job profile.24% (6) employees said
that they are not so satisfied with their current job profile.8% (2) employees said that
they are unsatisfied with their current job profile.
QUESTIONNAIRE FOR EMPLOYEES
1. Mark your satisfaction level with regard to following parameters, which are
provided in your organization. (6 is best and 1 is worst)
Parameters 6 5 4 3 2 1
Cleanliness 15 8 2 - - -
Ventilation & Temperature 10 8 4 2 1 -
Spittoons 12 6 6 1 - -
Lighting 12 8 5 - - -
Drinking Water 13 6 4 2 - -
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TABLE 11
ANALYSIS
INTERPRETATION
15 employees have given cleanliness as their maximum priority for satisfaction level.
13 employees have given drinking water as their priority.12 employees have given
lighting & spittoons as their priority.10 employees have given ventilation &
temperature as their priority.
2. Mark your satisfaction level with regard to following parameters related to safety
in your department. (6 is best and 1 is worst)
Parameters 6 5 4 3 2 1
Fire Protection 8 4 6 3 2 2
Hoists and Lifts 9 6 3 7 - -
Self-Acting Machine 4 3 4 3 6 5
ANALYSIS
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TABLE 12
INTERPRETATION8 employees have given fire protection as their maximum priority for satisfaction
level.9 employees have given hoists & lifts as their maximum priority for satisfaction level.4 employees have given self-acting machine as their maximum priority for satisfaction level.
3. Mark your satisfaction level with regard to following parameters related to
welfare in your department. (6 is best and 1 is worst)
Parameters 6 5 4 3 2 1
Facility for Storing & Drying Clothes 12 6 3 4 - -
Rest Room 14 8 3 - - -
First Aid/Medical Service 17 4 4 - - -
Canteen 17 5 2 1 - -
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TABLE 13
ANALYSIS
INTERPRETATION12 employees have given facility for storing & drying clothes as their maximum priority for satisfaction level. 14 employees have given facility of rest-room as their maximum priority for satisfaction level. 17 employees have given facility for canteen, first-aid/medical services as their maximum priority for satisfaction level.
4 Are you satisfied with the compensation given to you in case you get
injured at the work place?
Sr. No. Option Chosen No. Of employees % Employees1 Yes 18 722 No 7 28
ANALYSIS
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TABLE 14
INTERPRETATIONThis chart depicts, the management gives compensations facility to workers.72% (18) of the members of management are saying yes regarding these facilities to workers. 28% (7) of the members of management are saying no regarding these facilities to workers.
5. Do you get company Housing & Education facility?
Sr. No. Option Chosen No. of employees % employees
1 Yes 16 642 No 9 36
Analysis
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TABLE 15
INTERPRETATION This chart depicts, the management gives Housing & Education facility to
workers.64% (16) of the members of management say yes regarding these facilities to workers. 36% (9) of the members of management say no regarding these facilities to workers.
Q6. Does your organization provides medical benefits apart ESI?
Sr. No. Option Chosen No. of employees % Employees1 Yes 21 842 No 4 16
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TABLE 16
INTERPRETATION This chart depicts, the management gives Medical benefits as apart of ESI facility to
workers.84% (21) members of management are saying yes regarding these facilities to workers. 16% (4) members of management are saying no regarding these facilities to workers.
Q7. Are you satisfied with the present job profile?
Sr. No. Option Chosen No. of employees % Employees1 Very satisfied 7 282 Satisfied 11 44
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TABLE 17
3 Not so satisfied 5 204 Unsatisfied 2 8
INTERPRETATION
28% (7) employees are very satisfied with their current job profile. 44% (11) are only
satisfied with their current job profile.20% (5) employees said that they are not so
satisfied with their current job profile.8% (2) employees said that they are unsatisfied
with their current job profile.
8. Are the methods used to give you welfare schemes are genuine?
Sr. No. Option Chosen No. of employees % Employees1 Most of the time 12 482 Some time 4 16
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TABLE 18
3 Once in a while 5 204 Never 4 16
INTERPRETATION
48% (12) employees said methods of welfare are genuine most of the times.16% (4)
employees said methods of welfare are genuine only some times.20% (5) employees
said methods of welfare are genuine once in a while.16% (4) employees said methods
of welfare are never genuine.
9. How do you rate your organization?
Sr. No. Option Chosen No. of employees % Employees1 Excellent 7 28
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TABLE 19
2 Very Good 11 443 Good 6 244 Average 1 4
INTERPRETATION
28% (7) employees ranked their organization as excellent.44% (11) employees
ranked their organization as very good. 24% (6) employees ranked their organization
as good.4% (1) employees ranked their organization as average.
SWOT ANAYLSIS
SWOT Analysis is a powerful technique for understanding the Strengths and
Weaknesses, and for looking at the Opportunities and Threats one might face.
Used in business context, it helps an organization carve a sustainable niche in the market.
Used in a personal context, it helps one develop his/her career in a way that takes best
advantages of his/her talents, abilities and opportunities.
Strengths and Weaknesses are internal factor. Opportunities and Threats relate to external
factors. For this reason, the SWOT Analysis is sometimes also called as Internal-External
Analysis.
SWOT Analysis mainly stands for
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S = Strength
W = Weakness
O = Opportunities
T = Threats
STRENGTH
Strength describes the positive attributes, tangible and intangible, internal to the object or
topic.
I was able to get response very quickly, as I didn’t have to face any Red Tapism,
need for higher management approval, etc.
I was really able to study the actual position of the implementation of the various
legalization, which is enforced in the company.
The Employee Welfare & Social Security Schemes are regulated in BTM, so I
was able to collect information from the employees in true sense.
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The Employee Welfare & Social Security Schemes motivate employees and
workers to do work with efficiency and effectively.
The Employee Welfare & Social Security Schemes satisfied economic and
social needs of employees, so Employee Turnover in BTM is very less.
WEAKNESSESS
It is always very difficult to complete a project with immaculate accuracy. Likewise my
project also had some weaknesses, they are stated below as:
My study was limited to only one organization i.e. BTM.
Sample size was small as compared to the total work force.
The scope of the study was limited to the structured questionnaire and discussion
guidelines.
The scope of the study was limited to the verbal Interviews and Guidelines.
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Time to conduct the study was less and as a result research could not be as
comprehensive as required.
OPPORTUNITIES
Opportunities assess the external attractive factors that affect the topic. These
opportunities exist in our surroundings.
The opportunities in Human Resource field are huge in terms of employement. The
facilities provided due to provisions under The Employee Welfare & Social Security
Schemes give chances for equality.
The Employee Welfare & Social Security Schemes give opportunities for long-term
survival & growth by providing social benefits to its employees and reduced Employee
absenteeism and increased productivity.
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THREATS
The threats are also external factors and influenced any object externally. The threats
related to my training topic are:
The company has not linked Gratuity Act with LIC as, which deprive them of
enjoying benefits of LIC Schemes whereas its competitors provided this facility to
their workers, hence company should think about it.
Employees nowadays are very intelligent and ambitious, and they want more &
more, hence to satisfy them, well-defined and regulated facilities should be
provided to them.
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If The Employee Welfare & Social Security Schemes are not properly
provided, Employee turnover may increase and it can become a threat for the
organization’s survival and growth.
FINDINGS
Although the workers were more or less satisfied with various facilities provided by the
company, still there were certain facilities with which the workers were not satisfied and
required improvements. Some of them are listed below which I encountered during my
study on Employee welfare & social security in BTM, Bhiwani.
At present canteen is run by a contractor and a contractor is charging market rate
on foodstuffs. The company should increase its subsidy so that foodstuffs are
available on reasonable rates.
The Organization does not provide Uniform to the workers.
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The Organization does not provide housing and education facility to the workers.
The Organization hasn’t increased the amount of emergency loans provided to the
workers since a long time.
The Organization does not provide Long Service Rewards to its employees.
SUGGESTIONS
In my view the company should deduct PF and FPF on full basic earning so that
the employees at the time of retirement may able to get maximum amount from
pension Fund.
At present Company is paying Gratuity @ 15 days Wages or salary on one year
service to all employees who completed five years continuous services .In my
view the employees who have been working for more than 15 years should be
allowed to get 20 days salary instead of 15 days because by giving this benefit the
employees are able to compensate their interest on gratuity amount.
Company should provide Sick leave Facility to those employees who are not
covered under ESI ACT.
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Unemployment resulting from modernization will have to be solved by properly
assessing manpower needs and training redundant employees in alternate skills.
Although this is difficult process and it may be hurt some people there is no
escape.
LIMITATIONS
As I didn’t have significant knowledge on this topic, I was unable to draw more
information.
There was also lack of time and workers also were hesitant in responding in the
working hours.
Non-response from both employees & management.
Limitation of resources in the terms of finance that means financial constraints
were there.
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Biasness was reflected while the employees were responding.
CONCLUSION
In our country the industrialization started very late but we have rapidly catching up with
the progress achieved elsewhere and the expectation and aspiration of worker are rising
rapidly. They are demanding increasing power and authority in the design making
process. The Govt. is also looking sympathetically towards the working class.
At BTM, Bhiwani workers are overall satisfied and contended. It is a boom for the
organization because satisfaction is a personal thing and an organization can’t satisfy its
worker only by giving more.
In the end we can conclude that workers are happy with the physical working conditions
inside the factory. Workers are also happy with the safety parameters provided by the
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management, facilities of health and recreation, facilities provided by the ESI, medical
benefits provided by the company & by the loan facility provided by the company.
BTM, Bhiwani is successful in maintaining good relationship with the workers. The
success of the organization is largely due to its workers as it is an Employee intensive
organization.
ANNEXURE
Questionnaire for Management
NAME -.
DATE -.
Q1. Do u think Company’s operating philosophy and culture is beneficial to you?
A Strongly agree Agree
Strongly Disagree Disagree
Q2. Can the Company’s management style be described as participative?
A Strongly agree Agree
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Strongly Disagree Disagree
Q3. Do the managers in the Company work towards employee’s satisfaction?
A Strongly agree Agree
Strongly Disagree Disagree
Q4. To what extent do you agree with the following statement “Human resource
planning is well integrated with strategic planning in our company”?
A Strongly agree Agree
Strongly Disagree Disagree
Q5. Are the Employee welfare & social security facilities extended to contract
workers too?
A: YES NO
Q6. Is there any canteen management committee in your organization?
A: YES NO
Q7. Is there any Ambulance Room or Ambulance Van in the organization ?
A: YES NO
Q8. What prompted you to join this organization?
A Good Salary status
Strongly Disagree Disagree
Q9. What are the major goals/objectives of your organization?
A Profitability Survival & Growth
Efficiency Any Other
Q10. Are you satisfied with your current job profile?
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A Satisfied Very Satisfied
Not So Satisfied Dissatisfied
Questionnaire for Employees
Q1. Mark your satisfaction level with regard to following parameters, which are
provided in your organization. (6 is best and 1 is worst)
Parameters 6 5 4 3 2 1
Cleanliness
Ventilation & Temperature
Spittoons
Lighting
Drinking Water
Q2. Mark your satisfaction level with regard to following parameters related to
safety in your department. (6 is best and 1 is worst)
77
Parameters 6 5 4 3 2 1
Fire Protection
Hoists and Lifts
Self-Acting Machine
Q3. Mark your satisfaction level with regard to following parameters related to
welfare in your department. (6 is best and 1 is worst)
Parameters 6 5 4 3 2 1
Facility for Storing & Drying Clothes
Rest Room
First Aid/Medical Service
Canteen
Q4 Are you satisfied with the compensation given to you in case you get injured at
the work place?
A: YES NO
Q5. Do you get company Housing & Education facility?
A: YES NO
Q6. Does your organization provides medical benefits apart ESI?
A: YES NO
Q7. Are you satisfied with the present job profile?
A Satisfied Very Satisfied
Not So Satisfied Dissatisfied
Q8. Are the methods used to implement welfare schemes genuine?
A Never Sometimes
Many times Most Times
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Q9. How do you rate your organization?
A Good Average
Very Good Excellent
BIBLIOGRAPHY
BOOKS AND JOURNALS
MARKETING MANAGEMENT PHILIP KOTLER, Tata McGraw Hill
Publication, 12th EDITION
Human Resource Management in a Business Context by Alan Price, 3rd
edition (April 2007)
Empowering Employees by Kenneth L. Murrell, Mimi Meredith
Human Resource Management by Robert L. Mathis, John H. Jackson, 11th
edition
MAGAZINES
BUSINESS INDIA April, 2007
UDYOG VYPAR PATRIKA. (HALF YEARLY) EDITION
79
Employee Power MAGAZINE.JAN 2007
WEB SITE
www.wikipedia.orgs
www.grasimindia.com
www.google.com
www.yahoo.com
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